DVD Not Enough to Halt News Corp. Q1 Profit Decline7 Nov, 2007 By: Erik Gruenwedel
Despite strong TV DVD sales of “Family Guy” and “Prison Break” and global box office returns of The Simpsons Movie and Live Free or Die Hard, News Corp. posted first quarter (ended Sept. 30) income of $732 million, down 13% from $843 million during the same period last year.
Filmed entertainment, which includes 20th Century Fox Home Entertainment, reported consolidated operating income of $362 million, up 51% from $239 million last year.
Revenue topped $1.5 billion, compared to $1.2 billion last year.
Global DVD sales of Eragon and Night at the Museum, in addition to Little Miss Sunshine on pay-per-view, contributed to the quarter.
Live Free or Die Hard has grossed more than $375 million in global theatrical revenue, while The Simpsons has grossed more than $524 million.
In an analyst call, News Corp. president and COO Peter Chernin said the writer's strike would likely benefit the company, including the Fox News Channel, in the short term due to an abundance of reality programming and animation content.
Total revenue, which includes television, cable, satellite, magazines, newspapers, and book publishing, topped $7 billion, compared to $5.9 billion last year.